In December 2019, the total business climate indicator increases by 0.9 percentage points compared to the previous month as a result of the indicators’ improvement in industry, construction and service sector.
Industry. The composite indicator "business climate in industry" increases by 0.7 percentage point, which is due to the favourable managers’ assessments about the present business situation of the enterprises. The inquiry also reports certain increase of the production assurance with orders, which is not accompanied by increased expectations about the production activity over the next 3 months.
The main factors limiting the activity of the enterprises remain connected with the shortage of labour and uncertain economic environment
As regards the selling prices in industry, the managers’ expectations are for preservation of their level over the next 3 months.
Construction. In December the composite indicator ‘"usiness climate in construction" increases by 2.6 percentage points as a result of the improved construction entrepreneurs’ assessments about the present business situation of the enterprises. In their opinion, the new orders inflow over the last month is preserved, but the forecasts about the activity over the next 3 months are worsened.
The shortage of labour, uncertain economic environment and competition in the branch continue to be the main problems limiting the business in the sector.
Concerning the selling prices in construction, the majority of the managers expect them to remain unchanged over the next 3 months.
Retail trade. The composite indicator "business climate in retail trade" preserves approximately its level from the previous month. The retailers’ forecasts about both the volume of sales and orders placed with suppliers from foreign market over the next 3 months are favourable.
The most serious difficulties for the activity of the enterprises remain the competition in the branch, insufficient demand and uncertain economic environment.
As regards the selling prices, the prevailing retailers’ expectations are for preservation of their level over the next 3 months.
Service sector. In December the composite indicator "business climate in service sector" increases by 0.9 percentage points as a result of the more favourable managers’ assessments and expectations about the business situation of the enterprises. Their opinions about the demand for services over the next 3 months are also more optimistic.
The competition in the branch, uncertain economic environment and shortage of labour continue to be the main obstacles for the business development.
Concerning the selling prices in the sector, the managers foresee them to remain unchanged over the next 3 months.
Source: National Statistical Institute